Authorization of transactions is a key control in most organizations. Authorizations        should not be made by individuals who have incompatible functions. For each        transaction (listed as A through I), indicate the individual or function (e.g., the head of a        particular department) that should have the ability to authorize that transaction.        Briefly provide a rationale for your answer. Writing off old accounts receivable. Committing the organization to acquire another company that is half the size of the                  existing company. Paying an employee for overtime. Shipping goods on account to a new customer. Individual(Salesperson)- The salesperson may ship the goods which can be supervised by a senior. Purchasing goods from a new vendor. Individual- The purchase manager is responsible for acquiring goods from new vendors Temporarily investing funds in common stock investments instead of money market                 Funds. CEO Purchasing a new line of manufacturing equipment to remodel a production line at                 one of the company’s major divisions (the purchase represents a major new                 investment for the organization). Replacing an older machine at one of the company’s major divisions.   Rewriting the company’s major computer program for processing purchase orders                 and accounts payable (the cost of rewriting the program will represent one quarter                of the organization’s computer development budget for the year).

1.   Authorization of transactions is a key control in most organizations. Authorizations 

      should not be made by individuals who have incompatible functions. For each 

      transaction (listed as A through I), indicate the individual or function (e.g., the head of a 

      particular department) that should have the ability to authorize that transaction. 

      Briefly provide a rationale for your answer.

1. Writing off old accounts receivable.
2. Committing the organization to acquire another company that is half the size of the 

                existing company.

1. Paying an employee for overtime.
2. Shipping goods on account to a new customer.

Individual(Salesperson)- The salesperson may ship the goods which can be supervised by a senior.

1. Purchasing goods from a new vendor.

Individual- The purchase manager is responsible for acquiring goods from new vendors

1. Temporarily investing funds in common stock investments instead of money market 

               Funds. CEO

1. Purchasing a new line of manufacturing equipment to remodel a production line at 

               one of the company’s major divisions (the purchase represents a major new 

               investment for the organization).

1. Replacing an older machine at one of the company’s major divisions.
2.   Rewriting the company’s major computer program for processing purchase orders 

               and accounts payable (the cost of rewriting the program will represent one quarter 

              of the organization’s computer development budget for the year).